FORGING AHEAD - Tradewinds Plantation Berhad

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PERFORMANCE REVIEW
BuSINESS
REvIEW
By CHIEF EXECuTIvE OFFICER
FINANCIAL YEAR 2010 (“FY 2010”) WAS GENERALLY CHALLENGING IN TERMS OF THE
OPERATING ENVIRONMENT WITH UNPREDICTABLE ADVERSE WEATHER CONDITIONS
AND A TIGHT LABOUR MARKET. WHILE THE COMPANY HAS NO CONTROL OVER THE
FORCES OF NATURE, WHICH HAD MARGINALLY AFFECTED FRESH FRUIT BUNCHES (“FFB”)
PRODUCTION, THIS WAS MITIGATED BY AN IMPROVED OIL ExTRACTION RATE (“OER”) FOR
CRUDE PALM OIL (“CPO”) ACHIEVED BY THE GROUP’S EIGHT PALM OIL MILLS. THE GROUP
WAS FORTUNATE THAT IT WAS RELATIVELY WELL PREPARED TO FACE WITH THE PROBLEMS
ASSOCIATED WITH LABOUR SHORTAGES PREVALENT THROUGHOUT THE INDUSTRY.
OPERATIONAL HIGHLIGHTS
The Group was not spared the adverse
effects of the El Nino and La Nina
phenomena that impacted on FFB
production nationwide. Apart from the
marginal decline in FFB production, I
am pleased to report that the Group has
been able to meet, if not exceed, key
operational targets set for FY 2010. The
operational highlights of the year are
summarised as follows:
TRADEWINDS PLANTATION BERHAD
Annual Report 2010
• The Group successfully achieved
its development and re-planting
programme as targeted in line
with the development programme
for FY 2010.
• Headway was also made in the
rubber diversification programme,
with an increase in rubber planted
area.
• The Sg. Kachur Palm Oil Mill and
Ulu Sebol Palm Oil Mill earned
certification to ISO 9001:2008.
• The Group’s extraction rates for
CPO and palm kernel (“PK”)
improved to 21.54% and 5.35%
respectively, the highest achieved
to date.
• In striving for sustainability, major
strides were made in the key
areas of Occupational Safety and
Health (“OSH”), environmental
management, corporate social
responsibility and the adoption of
the best agricultural practices.